In the current web2 world, popular apps make money by selling ads that are shown to their users and also by selling the users' data to advertisers. All the apps that you use on a daily basis like Facebook, Youtube, Instagram and Google make money this way. All the revenue goes from brands that seek to advertise to the platforms that run the popular apps. In other words, Facebook makes all the money from selling ads that are marketed to their users and the users themselves get nothing.
Web3 and the move-to-earn model
One of the primary goals of web3 is to change this model where a single centralized entity makes all the money and to move toward a more decentralized model that encourages peer to peer transactions and commerce. In this new model money will go to the users as well.
Move to earn is a web3 model in which users are paid to move! Like, really! A great win win where you get physically and somebody pays you for doing that.
Move to earn apps are blockchain based web3 apps that have their own tokens. The space is rapidly evolving and provide several opportunities for users to earn by participating in the ecosystem. The following are some of the ways in which the move to earn economics works.
Tokens - Each app has its own token.
- The app's governance model controls the issue of tokens.
- Users typically move to earn tokens.
- The tokens are stored in a wallet within the app.
- The tokens can be used to buy items within the app.
NFTs - NFTs play an important role in move to earn apps.
- For example, in the case of Stepn, purchasing a sneaker NFT is a pre-requisite to participating in the app's move to earn ecosystem.
- Several other apps have in app NFTs that can be bought using the app's tokens.
- Another model is to have Pokemon Go style NFT collectibles that can be discovered by moving around.
Governance - Decentralized web3 apps will also have a governance token and holders of the token will vote on important decisions related to the treasury.
Marketplaces - The app marketplace will carry movement related assets and other items that can be bought using the app's token. External vendors and creators may be allowed to sell their goods in the app's marketplace. This provides an opportunity for creators to earn through access to millions of the app's users.
DeFi - Users will have the opportunity to earn passive income by staking their tokens.
Data One of the promises of web3 is to let users own their data and gain any benefit from it. Move to earn apps will provide valuable fitness data to users that they can use to manage their health, buy insurance and so on.
Move-to-earn projects to watch
Here are some apps that you can check out where you can move and earn.
STEPN is a very popular move to earn app that rewards users for walking or running. Users will have to purchase a sneaker NFT to become a member and be eligible to participate in the move to earn game.
Sweat Coin is a UK based move-to-earn app built on the NEAR chain. Its main vision is to promote fitness by letting users create value by moving. Movement is tracked by the app and the goal of the movement is to mint tokens that will hold the value created. The tokens can be stored in a wallet, or can be staked to earn passive income. The revenue generated will be held in a DAO and users can vote on important decisions related to the treasury.
Olympia - Pokemon Go style NFT collectible based move to earn app.
Click below to see a list of top move to earn apps by market cap.